#Your Tax Matters
Earlier this year we published a couple of columns focusing on Small, Medium and Micro Enterprises (SMMEs). This month we are again focusing on this sector.
- Employer Filing Season
The Employer Interim Reconciliation Declaration (EMP501) submission period closes on 31 October 2021. Employers with less than 50 employees can use either SARS eFiling or e@syFile™ Employer to submit their reconciliation documents. e@syFile™. We would like to advise Employers to ensure that they submit on or before the deadline to avoid late penalties. An employer who files their EMP501 late will be penalised under the provisions of paragraph 14(6) of the Fourth Schedule to the Income Tax Act. The penalty will equal 1% of the year’s PAYE, for each month that the return is late, up to 10% of the year’s PAYE. It is very important for employers to file accurate and complete EMP501’s. SARS uses the information we receive through your submission of an EMP501 to populate auto-assessments and income tax returns on behalf of your employees. Incomplete or inaccurate information will negatively affect your employees’ ability to meet their tax obligations. In practise, your incomplete or inaccurate information may result in significant delays of refunds to your employees when due.
- Debt Management Payment Arrangement Request
Until recently, taxpayers could only make payment arrangements during engagement with a SARS agent, in person at a SARS branch, utilising the debt management regional emails, or on their My Compliance Profile (MCP) on eFiling. This changed from 10 September 2021. SARS has now implemented an enhanced debt management process to enable taxpayers with outstanding debt to initiate a Request for Payment Arrangement via eFiling for four tax types: personal and corporate income tax, value-added tax (VAT) and Pay-As-You-Earn (PAYE). Administrative penalties can also be settled through this channel. This is a positive stride towards making it easier for taxpayers to fulfil their tax obligations.
Taxpayers are now able to initiate a payment arrangement request for outstanding debt on eFiling from the following sources: Statement of Account (SOA); SOA admin penalties; Return Work Page; Notice of Assessment; Notice of Assessment for administrative penalties; My Compliance Profile (MCP) functionality; Final demand letter; and Final demand reminder letter. The September 10 enhancements of the payment arrangement process on eFiling will enable taxpayers to:
• Initiate a payment arrangement, with an instalment plan of up to 36 months
• Supply the reason for the request and preferred method of payment
• Attach mandatory supporting documents where required
• Submit the request if they meet qualifying criteria.
- Self-help platform:
SMMEs are reminded about our easy-to-use online self-help platform/query system accessible via the SARS website (click on the “Online Services” icon on the www.sars.gov.za home page} to raise queries/perform various functions without having to go into a SARS branch. To use the self-help/query system, taxpayers simply need to complete the online form by selecting a Query Type, complete a set of required information fields, attach supporting documentation where necessary, and submit the data to SARS for processing and review. You can use the online platform to:
- Request a tax number
- Submit supporting documents
- Submit a payment allocation
- Report new estate cases
- Register a tax representative
- Make tax compliance status requests
- Verify your tax compliance status.
- Tax Relief Measures
SARS introduced a number of relief measures to assist businesses affected both by the Covid-19 lockdown and the unrest earlier this year. To unlock the tax relief the taxpayers must maintain their compliance status. For more info on these, go to the SARS website www.sars.gov.za, search for the “Small Businesses” page and click on the 2021 Tax Relief Measures leaflet.
We will continue to bring you useful information about SMMEs in future columns.
Regional News
Filing Season update:
- The Gauteng South area has set up a number of “pop-up branches” to assist taxpayers away from SARS branches. These include the following:
- Greenstone Mall, Edenvale: Operating hours Monday to Friday10:00 to 17:00, Saturdays (as of 25/9) 9:00am to 14:00
- Alberton City Mall, New Redruth, Alberton: Operating hours 9:00 to 16:30 hours weekdays
- The Glen Shopping Centre, Oakdene: Operating hours Monday to Friday 9:00 to 17:00
- Heidelberg Mall, Heidelberg: Fridays from 9:00 to 15:00
- Carletonville Civic Centre: Wednesdays to Fridays at 9:00am to 15:00 hours
For more info on SARS’ outreach activities, click here: https://www.sars.gov.za/individuals/who-pays-tax/how-do-i-learn-about-taxes/
- Filing Season for Individuals closes on 23 November 2021. You are urged to make use of one of our online channels to submit your returns. However, if you need help in a branch, you are reminded that you first need to book an appointment – even though we are now on Level 1 lockdown. You can find out more about this by going to www.sars.gov.za and clicking on the “Tax Season” or “Book an Appointment” icons on the home page. Remember, if you don’t submit your income tax return on time, you may be liable for penalties.
- This column is supplied by the South African Revenue Service and is published here unedited.
SmilingSouth 
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